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Does the above code work? You said you fixed the "Invalid argument exception" problem however my guess is that it still doesn't work as expected, this for the reasons in the next points

You cannot "listen" on a socket on Windows Phone 7, for security reasons you can only receive from an IP you initiated a communication with, so send first an empty packet and then listen for a limited amount of time.

UDP broadcast is not supported, only TCP, UDP unicast and UDP multicast.